Govt exempts renewable energy fund charge from Aug 1
The exemption covers the Green Electricity Tariff (Get) initiative, Corporate Renewable Energy Supply Scheme (Cress) and Community Renewable Energy Aggregation Mechanism (Cream).
The Energy Transition and Water Transformation Ministry said the measure aligned with the government's goal to accelerate the development and integration of renewable energy into the national electricity supply.
"With this exemption and related enhancements, the Energy Transition and Water Transformation Ministry hopes to incentivise users, particularly corporates and industries, to continue supporting the country's energy transition agenda towards achieving a 70 per cent renewable energy mix in electricity supply by 2050," the statement read.
The Energy Transition and Water Transformation Ministry added that the move was also expected to spur more progressive and positive growth in the renewable energy industry.
It said the 1.6 per cent charge on electricity tariffs, introduced in 2011, was established to fund the growth of renewable energy in Malaysia through the Feed-in Tariff (FiT) mechanism implemented by the Sustainable Energy Development Authority (Seda) Malaysia.
"Since the introduction of the FiT mechanism, the distributed renewable energy capacity in the national power supply system, particularly from solar sources, has grown significantly, from just 5 megawatts (MW) in 2011 to 5,100 MW," the ministry said.
FiT has also boosted electricity generation from biogas, biomass, and small hydropower sources, which now collectively contribute 855 MW to the national supply, it added.
It said that following the implementation of the new electricity tariff structure on July 1, the government reviewed existing renewable energy programmes and resolved to further promote the adoption of renewable energy among electricity users.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Star
3 days ago
- The Star
Renewable Energy Fund charge lifted for green initiatives
PUTRAJAYA: The government will exempt the 1.6% Renewable Energy Fund charge on electricity tariffs under renewable energy programmes effective Aug 1. This was disclosed by the Energy Transition and Water Transformation Ministry yesterday. The exemption covers the Green Electricity Tariff initiative, Corporate Renewable Energy Supply Scheme and Community Renewable Energy Aggregation Mechanism. The ministry said the measure aligned with the government's goal to accelerate the development and integration of renewable energy into the national electricity supply. 'With this exemption and related enhancements, the ministry hopes to incentivise users, particularly corporations and industries, to continue supporting the national energy transition agenda towards achieving a 70% renewable energy mix in electricity supply by 2050,' the ministry said yesterday, Bernama reported. The move was also expected to spur more positive growth in the renewable energy industry. The ministry said the 1.6% charge on electricity tariffs, introduced in 2011, was to fund the growth of renewable energy through the Feed-in Tariff (FiT) mechanism implemented by the Sustainable Energy Development Authority. 'Since the introduction of the FiT mechanism, the distributed renewable energy capacity in the national power supply system, particularly from solar sources, has grown significantly, from just 5 megawatts (MW) in 2011 to 5,100 MW,' the ministry said. FiT also boosted electricity generation from biogas, biomass and small hydropower sources, which now collectively contribute 855 MW to the national supply. The ministry said following the implementation of the new electricity tariff structure on July 1, the government reviewed existing renewable energy programmes and resolved to further promote renewable energy among electricity users.
New Straits Times
3 days ago
- New Straits Times
Govt exempts renewable energy fund charge from Aug 1
PUTRAJAYA: The government will exempt the 1.6 per cent Renewable Energy Fund (KWTBB) charge on electricity tariffs under renewable energy programmes effective Aug 1, said the Energy Transition and Water Transformation Ministry. The exemption covers the Green Electricity Tariff (Get) initiative, Corporate Renewable Energy Supply Scheme (Cress) and Community Renewable Energy Aggregation Mechanism (Cream). The Energy Transition and Water Transformation Ministry said the measure aligned with the government's goal to accelerate the development and integration of renewable energy into the national electricity supply. "With this exemption and related enhancements, the Energy Transition and Water Transformation Ministry hopes to incentivise users, particularly corporates and industries, to continue supporting the country's energy transition agenda towards achieving a 70 per cent renewable energy mix in electricity supply by 2050," the statement read. The Energy Transition and Water Transformation Ministry added that the move was also expected to spur more progressive and positive growth in the renewable energy industry. It said the 1.6 per cent charge on electricity tariffs, introduced in 2011, was established to fund the growth of renewable energy in Malaysia through the Feed-in Tariff (FiT) mechanism implemented by the Sustainable Energy Development Authority (Seda) Malaysia. "Since the introduction of the FiT mechanism, the distributed renewable energy capacity in the national power supply system, particularly from solar sources, has grown significantly, from just 5 megawatts (MW) in 2011 to 5,100 MW," the ministry said. FiT has also boosted electricity generation from biogas, biomass, and small hydropower sources, which now collectively contribute 855 MW to the national supply, it added. It said that following the implementation of the new electricity tariff structure on July 1, the government reviewed existing renewable energy programmes and resolved to further promote the adoption of renewable energy among electricity users.
The Sun
3 days ago
- The Sun
SunBiz 2025-07-24 03:58 PM
KUALA LUMPUR: Kinergy Advancement Bhd (KAB), through its wholly owned subsidiary KAB Energy Holdings Sdn Bhd, has secured feed-in approvals for two hydropower projects under the Sustainable Energy Development Authority's (SEDA) Feed-in Tariff (FiT) 2.0 initiative. This latest milestone adds a combined installed capacity of 8.04 megawatts (MW), comprising two facilities with outputs of 5.2 MW and 2.84 MW, respectively. Building on the success of its mini-hydropower project in Indonesia, acquired in August 2023 and powered by environmentally friendly run-of-river technology, the group is now expanding its hydropower footprint in Malaysia through these newly approved projects under SEDA's FiT 2.0 programme. As these projects progress, KAB's Sustainable Energy Solutions (SES) segment is poised to benefit from stable, recurring revenue over 21 years, enabled by SEDA's structured tariff framework. Under the scheme, the approved tariff rates are fixed at RM0.34/kWh for the first 10 years and RM0.32/kWh for the following 11 years. The group's strategic move to initiate its renewable energy (RE) journey with the Indonesian mini-hydropower project is now bearing fruit—fueling tangible growth and strengthening its domestic presence in Malaysia. KAB executive deputy chairman and group managing director Datuk Lai Keng Onn said the company's progression from Indonesia to Malaysia reflects the scalability and synergy of its SES segment. 'We continue to unlock the growth potential of our sustainable energy portfolio. The approval of more than 8.0 MW demonstrates a well-aligned regional strategy and reaffirms the group's commitment to advancing sustainable energy development across Southeast Asia. 'We aim to contribute meaningfully to Malaysia's energy transition goals by ensuring each initiative delivers impactful, long-term economic growth—while most importantly, enhancing national energy security,' he said in a statement. SEDA's FiT 2.0 initiative is designed to promote renewable energy investment, create jobs, and accelerate Malaysia's shift toward cleaner energy sources. Its transparent online bidding process has increased industry participation, boosted investor confidence, and supported the development of renewable energy infrastructure nationwide.
